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term Government Bonds. Total bonds and debentures owned by the Compan amount to $4,197,â€" 964.77 of which 86.5 per cent is invested in Dominion of Canada Bonds. Investments in mortgages increased very slightly and stocks ownedâ€" remained virtually unâ€" changed. It is conventional pracâ€" tice for Fire and Casualty Insurâ€" Investments were again c clusively to h Agents‘ Balance ... Miscellaneous Provincial Bonds ...... Corporation Bonds ...... Stocks ... Mortgages .. A division of the Company‘s asâ€" sets appears as follows: Dominion of Canada Bonds ... $3,632,036.02 Total admitted assets of the Company were $5,695,720.93 at the end of the year, an increase of $372,188.74 over 1947. The total provision for unpaid and unreâ€" ported claims increased by $154,â€" 403.63 to the substantial amount of $500,702.51, which is considerâ€" ed ample to take care of all conâ€" tingencies. The reserve for unâ€" earned premiums was increased by $232,913.39; the reserve for possible loss on investments was increased from $50,000.00 to $120,~ 000.00 due to a decrease in value of Dominion of Canada Bonds. After providing for all other known liabilitics and contingenâ€" cies, the Surplus for the protecâ€" tion of Policyholders is $3,451,â€" €84.13, which when compared with premium writings of $3,163,â€" 388.68 leaves your Company in a very strong position. There was an increase in premâ€" ijums written by all departments of $494,012.67, which represents a gain of 18% per cent over the preâ€" vious year. The total premiums written were $3,163,388.68. Only three years ago, during the year 1946, the total premiums amountâ€" ed to $1,834,805.69, and it will thus be seen that in the short in-l terval of two years the volume of business transacted has inâ€" creased by 72 per cent This has imposed a heavy burden on the balance sheet because of the inâ€" €creased reserves of unearned preâ€" miums, and, consequently, makes it difficult to show underwriting profits even when losses are norâ€" In my 1947 address I predicted that the year 1948 would be one of consolidation, as it would naâ€" turally take time to merge the operations of the Hamilton, Monâ€" treal and Moncton offices of the Northwestern Mutual Fire Assoâ€" ciation into our own organization and system. The year just closed has been one of much additional work for the staff, due to the neâ€" cessity of rewriting Northwestern| Mutual business on Economical forms as it expired. Following the custom of former years, I propose to present to the Aunual Meeting of the members of the Company a general review of operations during the year 1948 and a brief analysis of our presâ€" ent financial position. To the Members of The Economical Mutual Fire Insurance Company: T2% Increase in Volume in Two Years For Economical Mutual Fire Insurance Co. Premiums Increased by18‘% in 1948 Total Amounts to $3,163,388.68 ds ... 285,811.25 5.1% ration * R ds ... â€" 358,72150 639 m e 3 $ on 280,117.13 49% hy _ > ages ... â€" 355,809.26 63% o s _ O Bs l 2 T af is _ e d Pss .+ o 2. . S y 26160078 469 s . hok ince 388,933.06 . 6.8% f e _ t , L * e laneous ¢ P + 3 <â€" M ag ;;2 &4 S .s.... 132,682.93 227 ‘ *4 <~¢w . / ME &.,3?, PE mc uce muliess vâ€"*m~ & ce 3 o e o 2e $5,695,720.93 100.07 # 5 5 * tments during the year | k ,f again confined almost exâ€" 6 P , ly to highâ€"grade mediumâ€" #" %A‘:;::F " Government Bonds. Total ‘ f $ P > % and debentures owned by " 6 l 4 1 ompan amount to $4,197,â€" P . 6 R . of which 865 per cent is W . § e d in Dominion of C:xnada‘ » 4 45 '»; already paid ...... Accounts Receivable _ DBFT 1, HMD., s ie mrernen e eHH MnE HPrvaviyrrrnmebrcernes Amount due from reinsurance on losses 20. NSE 10 Book Value of Stocks owned.................... Cash on hand and in banks............... Interest and Dividends due and accrued.... Agegts‘ balances written on or after Octoâ€" Book value of Real Estate owned................$ 35,315.00 Mortgage Loans on Real Estate, first liens _ 355,809.26 Book Value of Bonds and Debentures OWNBO \...........lcs. s 4 976 see T7 The Economical Mutual Fire Insurance Company 358,721.50 280,117.13 355,809.26 261,609.78 _owned b to $4,197 per cent : 63.8% 6.3% 49% 63% 467 ASSETS this unavoidable increase in ex~§a de_gré(& of m&gtér'y"é.é"'té ;\\;fl;{ s;i(.g-tfz)'":‘tt’;;;ggi‘;‘;g,t j fon* certain drivers have an acciden eet by eet, pentse.f sBly 0;3&" :f firxl.lufstratxon, ts frequency while the great majoâ€" plans are completc cost of $1,000,. of fire insurance ON |yity exnerience hardly any acciâ€" ) will call for tende a brick dwelling in a city of 0n~'dents at all, but those closest to ‘are considered rea tario in the year 1936 was $4.00/the business pretty well agree light of present c per $1,000 for a term of threel‘ga' saf]e driving[ is th; rt‘aisult of ‘expected t‘h;xt cor ‘ : & : the applitation of sound judgment|commence this yea Y ear; Such a ppllcy mdemmflede driving conditions and the obJ the insured against loss by fire, |servance of courtesy to other driâ€"|_ The â€" retiring lightning and explosion only. In|vers. If motorists could be_edu-{ Messrs. H. C. Kru ie snoailes are meteance on hos rrmipies the aaad of Anmoaa e en d t of soâ€"called fire insurance on the“‘nsurance would surely go down, Respectfully same dwelling was $4.10, but th’?land the failure to observe them is perils insured against were firc. would produce the opposite result. |February 18, 1949. hand, fire insurance rates have not been increased to cope with this unavoidable increase in exâ€" pense. By way of illustration; the "cost of $1,000. of fire insurance on a brick dwelling in a city of Onâ€" tario in the year 1936 was $4.00 per $1,000 for a term of three has increased very substantially, as has the cost of underwriting, including salaries, travelling exâ€" penses, office supplies and equipâ€" ment and other expenses incident to the. business. On the ‘other The year 1948 proved unfavorâ€" able for most fire insurance unâ€" derwriters. There were extraorâ€" dinarily heavy losses during the winter months at the beginning ‘ot the year and heavy windstorm losses at various times through the year, which became claims under fire policies carrying Supâ€" plemental Contracts. The cost of repairs in the case of partial lossâ€" es has gone up enormously in step with the rising cost of construcâ€" tion; the cost of adjusting losses ance Companies to keep themâ€" selves in an extremely liquid poâ€" sition in order to meet any sudâ€" den emergency and it is for this reason that your Directors have decided to place security of prinâ€" cipal ahead of the consideration of interest return. SENATOR W. D. EULER President of the Company L. O. BREITHAUPT For the Year Ending December 31st, 1948 Seventyâ€"Seventh Annual Financial Statement $5,495,720.93 4,276,568.77 280,117.13 261,609.78 34,710.00 388,933.06 50,243.59 12,414.34 Reâ€"elected Directors for a term of three years Because Approximately Repairs Bills Up........... 100% Car and Truck Prices Up.. 75% Hospital Bills, Etc., Up....... 60% Claims, Settlement, Overâ€" _ head Up ........2.020220 60% Automobile insurance premâ€" iums are fixed by insurance comâ€" panies on the basis of accident statistics over a fiveâ€"year period, and if frequency and cost of acciâ€" dents increase, the cost of insurâ€" ance is bound to increase proporâ€" tior‘xately. There has always been Milage ....... . Miles Miles Accidents ... 13,710 .. 27,000 Deaths ... 652 729 Injuries ... 11,638 14,300 Property Damage ...... 1,860,264 7,125,000 ($136 per ($264 per accident) accident) 345 More _ Drivers .....$ 899,572 1,200,000 32¢ More Vehicles ... 682,891 900,000 44¢, More U.S. Cars (Tourist * Entries) ... 779,302 1,120,000 50% More 5 Billion 7% Billion ‘ Automobile Department _ This branch of our business has again shown very substantial proâ€" gress. Total premiums written were $1,235,300.19, an increase of $269,482.15 over 1947. The loss raâ€" tio also increased being 51.7% of premiums earned as against 46.19, in 1947. The increase in loss ratio is not hard to understand when the following Ontario figures are considered. i lighting, windstorm, hail, riot, imâ€" ; Casualty Department pact by aircraft or vehicle, smoke m_Casénlty lnsu_rulhcea \Ml"iAtl«e;:‘1 by damag water escape. Furâ€" this Company includes Accident m‘:em‘fle l:“ hcpe _ and Sickness, Windstorm, Liabiliâ€" 4 policy extend S ty, Plate Glass, Personal Properâ€" ed 10 per cent automatically to ty, Guarantee, Burglary, l.nlpa:d outbuildings and also to rental inâ€" llarmgr and Householder‘s insurâ€" come during the period of repair.|ance. Total premiums written unâ€" It will thus be seen that maur.|def,/ this" branch amounted "to % ; {$378,987.68, an increase of $29,â€" ance, . particularly on private 3765 which is smalier than usâ€" dwellings, has greatly decreased ual due to the discontinuance of in cost to the insured, against me[a substantial amount of Personal trend of almost every other comâ€"| Property Floater insurance. Notâ€" d ; wnthstandmf the increase in rates | modity and service. . . ]and the application of deductibles | Fire premiums written dunng[:o the Personal Property Floater, 1948 were $1,549,100.81; fire premâ€" | the experience continues to be iums earned were $934,470.86; fire| VErY “}i‘“"t‘*’l"ablel and ;i would losses incurred were $538,503.13, fieisectgntti:;e fheo"‘gn:fmm’é ’T'}A‘fi” producing a loss ratio of §7.6 PC | Risk" type of insdrance, puhcyf cent This compares with 43.4 per|provides indemnity against penlsl cent in 1947; 49.7 per cent. in f that capnot alwaye be foreseen; 1946, and 57.7 per cent. in 1945. {that extraordinary claims will ‘present themselves. An insurance Automobile Department fcompany can only ptotfict itself|. sineg by charging fantastically high | This branch of our F’“""e‘s has rates to meet every contingency, | again shown very substantial pm')but this practice will result in gress. Total premiums written pricing the "All Risk" cover out were $1,235,300.19, an increase of|of the market. | Surplus for protection of Policyholders... 3,451,684.13 | Recrued :.....scomrermmimincedhetmeni. Taxes due and accrued.........c0.l.... Reinsurance balances ..........0...l.. Reserve for loss on investments........._.... Reserve for return of premiums............ Reserve for payments on portfolio Rein SUFANCE 1. sclc00. on cmiinine in en im censed reinsurance unsecured............ Agency and other expenses, due and Total provision for umpaid claims.......... Total net reserve carried out at 80% ... Reserve and unpaid claims under unliâ€" Accidents Cost Much More J. K. SIMS 1939 LIA BILITIES 1948 . : 208 PNCZ CAISIECNCC OINCP than dkâ€" ' The Directors have given @ling them out hunting. great deal of thought to the conâ€" It‘s time the conservative offiâ€" istruction of a new Head Office /; ; got wise to themselves and building, as there is urgent need {realized that a few pheasants are rof additional sgace due to the raâ€" . § $s J b . a great deal more valuable and \pid growt}} of business during te/will draw a great many more outâ€" past few years. Different types of ofâ€"county hunters than will all |buildings were considered, but {),, foxes in existence. ‘preliminary estimates of costs| ‘wpy, they waken to the fact |were so high that it became necesâ€" |ihat foxes and birds will not mix Pole O Pefimngially chonse the then they will return the bounty, |uloe on O At ie lart mest land there will ho a posglbility of ing of the Board of Directors, the cleaning out these vermin. _ ’archltects were authorized to proâ€" ~ ceed with the preparation of plans * * * /% % ‘and specifications for a threeâ€"| Fly tieing seems to be becoming storey building, approximately |a popular pastime among many 142 feet by 66 feet, and when such fishermen, although we know of plans are completed the Directors!a few instances where men who will call for tenders. If the costs have becn tieing their own flies ‘are considered reasonable, in the |for years, have now given up this light of present conditions, it is interesting pastime and are conâ€" expected that construction will tenting themselves with buying commence this year, ’thesc dainty creations from the ; sporting stores. Believe me, there The reviring_ wirectors are are few more interesting hobbies iMessrs. H. C. Krug, J. K. Sims than creating your own flies. We and L. 0. Breithaupt, all of whom (know. We have tied our own for iare ehg‘i)blc fox; x;eâ€"election. ‘the past 20 years and have, we E20 MOOB ENCCICM. AGRIERC IVE, LOCIC The â€"reviring _ wirectors are are few more interesting hobbies Messrs. H. C. Krug. J. K. Sims than creating your own flies. We and L. O. Breithaupt, all of whom (know. We have tied our own for are eligible for reâ€"election. ‘the past 20 years and have, we Respectfully submitted, [bcheve. managed to learn someâ€" _ _W. D. EULER, ‘thing new almost every time we February 18, 1949. President. tie up a new fly. f If there are any beginners who ~â€"â€"â€"â€"â€"â€"â€"â€"â€"â€"_.____â€"_â€"â€".read t!\is column who would like nount . 19 Ren Em NMn GrerRAnd L“dlll($‘( One of the boys who used to do | !w all our agents. ; |a lot of pheasant hunting with us | It is also appropriate to pay triâ€"\when we lived in that part of the | bute to the earnest service renâ€" province, claims that the foxes| dered to the Company by out have wiped the pheasant populaâ€" growing staff of employees now |tion right out, and that it is little numbering one hundred and fiftyâ€" use of the Department of Lands two, who, as I have said earlier, ‘and Forests putting out moref were faced with an exceptionally [birds until the fox population has heavy task in reâ€"writing a large ‘been cut down to where they} insurance portfolio. ‘The office won‘t clean the birds out before | routine of an insurance company ‘Jthey even get used to their surâ€"! is complicated and the number of roundings. teaele Nt bhre IP be Rept ind This section of Ontario is alsof prder to spread and control liaâ€" overrun with foxes, but there is | pus; as moll as to provide Saâ€" llittle being done about depleting! Diite s ar efeater than is gon. ‘their number. Why? For the sim-f erally imagined. During the year |ple reason that the average man, | 1949 it is proposed to study methâ€" {even though he likes hunting,! (ooe of other companies in order ldocs not feel he can afford to purâ€" to make certain that our existing chase and keep a couple of good’ puil ues ore as efficient as pos'{foxhounds if there is no reason sible for their existence other than takâ€" ! The Directors have given almg them out hunting. great dasl af Hhrssks $s T12 2.00d Once again our Agency Force has contributed substantially to the growth of the Company. The overall increase of 18 per cent is eloquent testimony of the serâ€" vice given the Company by the Field Staff, and, on behalf of the Directors particularly, I would like to extend our grateful thanks to all our agents. this Company includes Accident and Sickness, Windstorm, Liabiliâ€" ty, Plate Glass, Personal Properâ€" ty, Guarantee, Burglary, lnlpa;d Marine and Householder‘s insurâ€" ance. Total premiums written unâ€" der this branch amounted to $378,987.68, an increase of $29,â€" 376.85 which is smaller than usâ€" ual due to the discontinuance of THER 'AffillLOO (Ontario) CHRONICLE $5,695,720.93 $2,244,036 80 H. C. KRUG $ 500,702.51 â€"1,426,508.38 10,006.51 39,678.02 84,691.65 120,000.00 1,957.65 13,924.49 46,567.59 Had our hands on the answer to the trout fisherman‘s prayer the other night when we were making chin music about fishing equipment with Doc MacGregor. It‘s about a sevenâ€"andâ€"aâ€"haif foot casting rod of fly rod weight, but a hand or a bit of information on a certain fly you are trying to creâ€" ate, give us a call. We are always glad to help with anything we can along these lines. Fly tieing seems to be becoming a popular pastime among many fishermen, although we know of a few instances where men who bavc becn tieing their own flies _ When they waken to the fact that foxes and birds will not mix then they will return the bounty, and there will be a possibility of cleaning out these vermin. _ It‘s time the conservative offiâ€" cials got wise to themselves and realized that a few pheasants are a great deal more valuable and will draw a great many more outâ€" ofâ€"county hunters than will all the foxes in existence. Was talking to a few of the loâ€"! fcal boys when I was down east| this weekâ€"end, and they seem to! be having just as much or more | ’lrouble with the foxes than We( are here. The only diffrence is that there is a $5.00 bounty on| Renard in that part of the proâ€"| vince, and this helps to keep hns) \numbers in check. > I ‘_ We will all be sorry to see Clayt’ ‘reu‘re from this lake. It was usuâ€"| ally just as much fun to go out there and sit on a bench and talk fishing to him as it was to fish the lake. Not that there wasn‘t plenty | |of trout there, but the guy who said that "all fishing isn‘t catchâ€" fmg fish", was very close to the truthâ€"in this instance at least. | ! However, things change, and if ) ou fellows who used to go to } Eainbow Lake more to chew the} fat with Clayt than to catch fish,| still want to get into some "fishin‘ talk" with him, we imagine het will oblige. | ing of this resort just a little too | much for his health, and has sold it to a man who wants it for his own private fishing pond. Nice stuff if you have the money. * | Clayt finally found the operat | . We can oniy find one fault with the whole outfit, and that is the ;handle of the rod, which in our 'opinion should be more the size jand general construction of the {handle on the spinning rods. so that two hands could be used {while casting and thus alleviate the wrist strain â€" Othcrwise the idea is good, and we are hercey predicting that this outfit wil! take the place of the spinnin 1 outâ€" fits with North Amefican fishor men. % Just think of having thi of an outfit along when yo into one of those out of th ( True Tempor is widely known both for theit bait custing and fly rods, but this new rod is really a dilly. We don‘t know as yet just when or if this particular rod will become available to the gonâ€" eral run of fishermen, as we are told that it is still in the expemâ€" mental stages. Rod makers. unâ€" 'likc some of our car manufacturâ€" ers, evidently belicve in testing their product before putting it on the markee _ The Coxe freeâ€"spool reel used on this rod is a honey, althoush it costs close to forty bucks in this country. Doc says he can throw about a "mile of line" with this outfit, and get a real thrill out of any fish he hooks. _ equipped with casting gurdes and handle. The reel used on this rod is a small Coxe freeâ€"spool carryâ€" ing line of 6 or 8 pound test. The rod itself is not on the market yet but is being pioncered by the True Tempqr Rod Company. THE ROYAL BANK OF CANADA "Have a good trip!" Whatever your plans, if they involve money, drop in and talk them over with your bank manager There are so many ways in which he can help _ The whole family has been planning for this. Yes, and saving for it. The bank manager has been in on it right along, arranging financial details right down to handing them their Travellers Cheques. _ WATERLOO BRANCH s kind i pack enti qunic ( Joncstogo 1° The season will also be open North of No. 7 Highway in these countics, but this season does not upen until March 20th and reâ€" mauins open until May 5th. ind, Wellington, Halton and Peel. The line which governs this pun scason is that running south £ No. 7 Highway. . The local school observed Valâ€" tinc‘s Day with a party for the mors in the afternoon and a r«ty program presented at a 1 Croâ€"s meeting held Monday ‘ning _ef last week. Several o1 addresses and films featured ‘ program >â€" ‘Tht Royal Tour" film was iwn to a large audience in the inol Tucsday evening and on dnesday â€" forenoon. â€" Rev. E. (Chromele Correspondent ) By Noah Stroh H. S. BEVERIDGE, Manager Warden Oliver J. Wright and members of his township council attended the Ontario Association of Rural Municipalities and the Good Roads Conventions heid in Toronto this week Mr. and Mrs. Oscar Libutzke of St. Jacobs were Sunday guests of relatives in the village. Mrs. Oscar Huchn is a patient in Kâ€"W Hospital where she unâ€" derwent an operation on Thursâ€" day. Her condition is reported quite satisfactory. : Village friends of Mrs. Oliver Snider, the former Matilda Struck, Hamilton, regret to learn she sufâ€" fered a leg fracture in a fall on the ice and is a patient in the hosâ€" pital where she is not making raâ€" pid progress towards recovery. quaintances in the vlllaée recentâ€" ly. Mr. Gerald Struck of St. John, Mich., a former Conestogo boy, with friends were renewing acâ€" Mr. Henry H. Dahmer recently moved ‘into his new home built since last summer, Prakasam, president of the Anâ€" dhra Evangelical Lutheran Church in India, gave an interesting talk to the pupils and visitors present in the school. A number from here attended the special service in St. James Lutheran â€" Church, in â€" Elmira,. when Rev. Prakasam was a guest speaker, Tuesday evening of last week. Mrs. Roy Kienzle and son have been visiting relatives in Trenâ€" ton for a week. , 1949